Answer:
The budgeted selling expenses for the month of July is $220,000
Explanation:
The computation of the budgeted selling expenses are shown below:
= Sales commission + sales manager's salary + shipping expenses + miscellaneous selling expenses
where,
Sales commission = Sales × commission percentage
= $400,000 × 4%
= $16,000
Shipping expenses = Sales × expenses percentage
= $400,000 × 1%
= $4,000
The other expenses amount would remain the same
Now put these values to the above formula
So, the value would equal to
= $16,000 + $190,000 + $4,000 + $10,000
= $220,000
They can be easily swallowed by children and can also be toxic. It sometimes happens that they break and release their contents,contaminating the toys and making them unsafe for further use.
The semi annual interest payment on a $10,000 5% bond would be $250
Answer:
NPV = $ 87,592.90
Explanation:
Net present value is calculated by taking the Present Day (discounted) value of all future Net Cash Flow based on the Business Cost of Capital and subtracting the Initial cost of the Investment.
<u>Calculation of Net present value (Financial Calculator)</u>
Period and Cash flow
CF0 = ($900,000)
CF1 = $200,000
CF2 = $200,000
CF3 = $200,000
CF4 = $200,000
CF5 = $200,000
CF6 = $300,000
Cost of Capital = 8%
NPV = $ 87,592.90
Answer:
a) Portfolio ABC's expected return is 10.66667%
Explanation:
The expected return is based on the risk factor of a project. If a project has higher risk its rate of return will be higher. Portfolio ABC has one third of its funds invested in each stock. The return of on A and B are 20% and 10%. Their beta is 1.0 for both the stocks while stock C has beta 1.4. The portfolio expected return will be 10.66667%.
